Direct speech

Dear partners and colleagues!

The ability to see the free market niches and find creative technological solutions allows us to create own market segments that stay free from the competitors some period of time. This approach almost always helps us to create a new and highly profitable business.

Building the Infrastructure of a new export grain channel Siberia-China and creating a market for exporting Siberian grain has become a strategically and historically justified project.

Our terminal is the shortest and most efficient route for exporting Siberian grain to China.

The route excludes:

  • Additional overland transportation, because railway terminal is located much closer, than the existing seaports.
  • Transportation over the sea.
  • Excess grain handling in the port (car-to-ship).
  • It also reduces overland transportation in China.

Karen Ovsepyan

As a result, due to the unique logistics every ton of feed wheat at our terminal will have an undeniable competitive advantage. It will cost much less than other providers, such as the United States and Canada, can offer on FOB in the ports of China.

Building this terminal solves technical problems with grain handling caused by the different gauge standards used in Russia and China (1520mm and 1435mm), which excludes cars transit through.  It opens a new landmark in the history of the relations between Russia and China.

In fact, the terminal becomes a grain gate between Siberia and China and a bridge that will unite an important, promising and extensive market in the long term.

This bridge must be not only convenient, but first and foremost it must be reliable.

It must be reliable, because we are talking about food cooperation and food security.

Food security is one of the most important duties of the State, which means to "ensure the right of every person to have access to safe, high-grade, affordable food and the right to be free from hunger."

The reliability of such programs is a part of the international cooperation (as grain export and import are industries controlled and subjected to a high attention both in Russia and China).

Strategic prospects (10-15 years), as well as the scale of the formed market are estimated at 30-40 million tons of grain a year. Revenue from these exports are comparable with annual revenues from gas export through the pipeline "Power of Siberia" on the eastern route. We are talking about "strategic industries and strategic cooperation between Russia and China" in the true sense of the word.

Our project has become a tool for meeting the public interest, as well as for implementing social and sectoral programs. It organically combines interests of citizens, the state and business in both countries. It creates conditions to develop commercially promising market of export-oriented grain production, grain logistics and grain trading in the Siberian Federal District.

Every new job opportunity in village gives 5 new jobs in related industries, and this is not only in Russia, but also in China.

Becoming a connecting bridge between two countries, we understand and accept the responsibility. We will do all our best to develop the project on the professional and inter-cultural levels. Our staff will provide services that fully comply with market expectations (your expectations). We will be working on improving these services and increasing the efficiency of our work.

And we are always open to cooperation and partnership with all constructive forces and members of the grain market, grain logistics and grain trading in Russia and China.

 

Best wishes,

CEO

"Grain Terminal Zabaikalsk" Ltd.

Karen Ovsepyan